Ivalua to automate and streamline sourcing across Michelin value chain
Ivalua has been selected by Michelin Group, the leading tyre company, to provide a global sourcing solution, which will automate and streamline sourcing processes across Michelin’s buyer teams in Europe, North America, South America and Asia.
Michelin already uses the Ivalua solution for a global management of its 5,000 contracts and 5mn invoices a year across 55 countries.
The success of those projects has led to Michelin expanding the relationship with Ivalua now providing a fully integrated source-contract process.
Hélène Paul, CPO of Michelin Group commented, “With buyers all over the globe issuing 1,500 requests annually for suppliers to provide goods and services, we needed a tool that could help make this process more efficient, ensure best practices are leveraged across teams and improve collaboration between internal stakeholders and suppliers.
“Ivalua provides us with a fully integrated, global strategic sourcing process that empowers us to do just that.”
The company's supplier portal offers a single location for suppliers to review and bid for sourcing events from the very beginning through to the selection of the preferred supplier.
The platform allows Michelin buyers to collaborate with suppliers bidding for contracts, improving quality and transparency.
In addition, Ivalua will help Michelin to:
- Easily manage the full strategic sourcing cycle including projects, auctions and RFX – giving 24/7 access and providing all the necessary documentation and bids in one place
- Collaborate with key stakeholders on RFX preparation, proposal evaluation and bid awards
- Score suppliers using defined parameters to calculate the total value offered by suppliers
- Get enterprise-wide visibility and insights for all sourcing events, timelines and costs
Gilles Bismuth, SVP of Business Development of Ivalua, commented, “In a world where supply chains are becoming ever more complex and increasingly global, organisations like Michelin are turning to technology to help manage their growing list of sourcing requirements.
“Ivalua is providing Michelin with an effortless way of tracking, automating and streamlining supplier sourcing, freeing up time for procurement teams to focus on strategic tasks to increase business value. Our collaboration features also mean that procurement teams can work with suppliers and each other, making the transfer of knowledge and insights much easier.”
Pandora and IBM digitise jewellery supply chain
Pandora has overhauled its global supply chain in partnership with IBM amid an ecommerce sales boom for its hand-finished jewellery.
The company found international success offering customisable charm bracelets and other personalised jewellery though its chain of bricks and mortar retail destinations. But in 2020, as the COVID-19 outbreak forced physical stores to close, Pandora strengthened its omnichannel operations and doubled online sales.
A focus on customer experience included deploying IBM’s Sterling Order Management, increasing supply chain resiliency and safeguarding against disruption across the global value chain.
Pandora leverages IBM Sterling Order Management as the backbone it its omnichannel fulfilment, with Salesforce Commerce Cloud powering its ecommerce. Greater automation across its channels has boosted the jeweller’s sustainability credentials, IBM said, streamlining processes for more efficient delivery. It has also given in-store staff and virtual customer service representatives superior end-to-end visibility to better meet consumer needs.
Jim Cruickshank, VP of Digital Development & Retail Technology, Pandora, said the digital transformation journey has brought “digital and store technology closer together and closer to the customer”, highlighting how important the customer journey remains, even during unprecedented disruption.
"Our mission is about creating a personal experience and we've instituted massive platform changes with IBM Sterling and Salesforce to enable new digital-first capabilities that are much more individualised, localised and connected across channels and markets,” he added.
Pandora’s pivot to digital
The pandemic forced the doors closed at most of Pandora’s 2,700 retail locations. To remain competitive, it pivoted to online retail. Virtual queuing for stores and virtual product trials via augmented reality (AR) technology went someway to emulating the in-store experience and retail theatre that is the brand’s hallmark. Meanwhile digital investments in supply chain efficiency was central to delivering on consumer demand.
“Consumer behaviour has significantly shifted and will continue to evolve with businesses needing to quickly adapt to new preferences and needs,” said Kareem Yusuf, General Manager, AI Applications and Blockchain, IBM. “To address this shift, leading retailers like Pandora rely on innovation to increase their business agility by enabling and scaling sustainable supply chain operations using AI and cloud.”
Yusuf said Pandora’s success was indicative of how to remain competitive by “finding new ways to create differentiated customer experiences that protect their enterprises from disruptions to help mitigate risk and accelerate growth”.